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2014 (6) TMI 683 - CESTAT NEW DELHIFailure to deposit the duty electronically - Penalty under Rule 27 ibid for violation of the proviso to Rule 8(1) ibid 19 times - whether for each violation, maximum penalty of Rs. 5,000/- and on this basis total penalty of Rs. 95,000/- should be imposed or whether the penalty of Rs. 10,000/- upheld by the Commissioner (Appeals) is sufficient - Held that:- In terms of 3rd Proviso to Rule 8(1), in case of an assessee whose monthly duty payment is Rs. 50 lacs or above, he is required to deposit the duty electronically through internet banking and violation to do so would invite penalty under Rule 27 according to which the contraventions in respect of which no penalty has been prescribed elsewhere, would attract penalty not exceeding Rs. 5,000/-. It is clear that Rs. 5,000/- is the maximum penalty and Adjudicating Authority in its discretion may imposed lower penalty also. Looking to the reasons for the respondent’s inability to comply with provisions of 3rd proviso to Rule 27(1), I am of the view that maximum penalty of Rs. 5,000/- under Rule 27 is not called for and as such I am of the view that the penalty imposed by the Adjudicating Authority which has been upheld by CCE (Appeals) is sufficient - Decided against Revenue.
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